Another Thorn in Six Flags' Side

� New Orleans Business / Frank Aymami

As if Mark Shapiro didn't have enough to worry about already, it now appears that the city of New Orleans is preparing to sue Six Flags for their failure to reopen and operate the long lost Six Flags New Orleans property, which has been shuttered since Hurricane Katrina decimated the Gulf Coast back in 2005. This article from Forbes outlines the sequence of events which has taken place this week between Six Flags and the city. Although the two parties have been in talks for quite some time, apparently New Orleans Mayor Ray Nagin has decided that enough is enough and he made a trip to New York this week to tell Shapiro as much. City Attorney Penya Moses-Fields has called Six Flags' unwillingness to reopen the park "totally unacceptable", citing various economic factors.

But both parties acknowledge that Six Flags has stayed current on its lease payments for the land, so does the city really have any ground to stand on? I guess it all comes down to the fine print. Mark Shapiro has also pointed out that back in 2007, Six Flags offered to pay the city of New Orleans more than $14 million (essentially the full cost of the lease), waive all of its claims to city-owned land, and turn over the 86 acres owned by Six Flags to the city to do as they pleased with it. Needless to say that offer was rejected, and here we are.

There's no denying that the trail of destruction left by Hurricane Katrina was unfortunate and tragic, and I'm sure there are many people who would love to see Jazzland/Six Flags New Orleans restored to its former glory. But I can't help but think that the bad economy was the straw that broke the camel's back in this case, and Six Flags is now being made a scapegoat. Surely the New Orleans city officials can't possibly be expecting a company teetering on the brink of bankruptcy to revitalize their entire local economy, right? I guess we'll just have to watch this one play out and hope a settlement can be reached that is agreeable to all parties.

Daily Spin 4.15.2009

Tokyo Disneyland has officially opened their new attraction, the awesome looking darkride named Monsters Inc. Ride and Go Seek. The $100 million, 4 minute dark ride takes passengers on an amusing trip through the world of Monsters Inc and allows them to use their on-board flashlights to find characters and bring the sets around them to life. I know I say this a lot but I want to go!

Declare bankruptcy and get $3 million? Looks like that's what will happen for Six Flags CEO Mark Shapiro if the company successfully completes a restructuring in or out of bankruptcy court. The "success bonus" comes as part of a renewed employment contract for the CEO that lasts through 2013. With what he's been doing for the company the past few years though - all the good that is, I say enjoy!

Good news for Conneaut Lake Park fans, it looks like "most" of the park's rides will be open this summer. BUT, sadly, the park's classic wooden coaster the Blue Streak will not be ready until 2010 at the earliest. The park's rides sat closed for the '07 and '08 seasons, so even with the closure of the coaster this is a great step forward! Stop by and visit this summer if you can!

Congratulations are in order for one of everyone's favorite parks, Holiday World. The park was the first in the nation to receive certification in the federally-recognized Safety and Health Achievement Recognition Program (SHARP) from the Indiana Department of Labor. A commitment to safety is essential at any park and Holiday Worlds clearly shines at it!

Will Wild West World ever reopen? Nothing is certain at this point, aside from the fact that it will not reopen as hoped for this summer. The failed Kansas theme park was purchased out of bankruptcy and planned a reopening, but most of the rides were sold to pay off debts. The future doesn't look too good considering the economy, though.

SFNEonline has another great Bizarro update for those wanting to see more of the scenery and other items that can be found along the track. I'm rather impressed with the makeover that Six Flags New England is giving the ride!

Worlds of Fun is in its final stages of prepping their new wooden coaster, Prowler, for its opening. The trains were recently placed on the track which means that testing should start very soon. There's photos of that located here. Also, the park is having a first rider seat auction for charity as well - feel free to bid for a good reason through here!

This is pretty neat - Six Flags Over Georgia is holding a contest to name one of the monsters in the park's new Monster Mansion ride. The monster that needs a name is the official photographer for the park, and will be featured in the ride. Winner is to receive a 4 pack of season passes to the park and the new ride opens May 16th.

Mark Shapiro Interview

Six Flags' CEO Mark Shapiro has been one busy guy lately, it seems we're seeing different interviews with him published weekly - and all from different cities!

It's all to spread the word that the company is still strong and the parks are open (or opening soon) for business like usual - and that three years of hard work transforming the properties is really paying off.

Mr. Shapiro was on the Early Show this morning and gave a great interview about the parks. You have to love his confidence! Check it out, it's worth a watch.

Two Six Flags Bits

The Funland Blog has once again broke some interesting Six Flags Magic Mountain news - this time it's regarding the theming going into the park's new Terminator: Salvation coaster.

They're saying the park will spend an additional $1 million on theming the coaster, using audio and video that will feature the stars of the new mega movie of the same name.

Great move! I think it's important to do all they can to connect 'wood coaster' to 'Terminator franchise!' Plenty more details here.

Also, here's a really great article about Six Flags' recent usage of viral marketing to promote their theme parks' new ride and attractions. It covers all the work that was done for the Dark Knight coasters as well as the ongoing campaign for Six Flags New England and Six Flags Great Adventure's coaster makeovers.

Six Flags to the World: It's Business as Usual

Amid the torrent of rumors, speculation, and doubt which began circulating well before Six Flags publicly acknowledged the possibility of that dreaded "B" word, the beleaguered company would like to make one thing crystal clear: As far as the parks are concerned, it's business as usual in 2009. Bankruptcy or not--and, as you'll recall, that remains to be seen--the company's pending financial obligations will in no way impact the manner in which the individual parks are run, nor the quality of the new and improved Six Flags experience.

Since the dawn of the Snyder/Shapiro era, Six Flags has proceeded to set the bar higher and higher at its parks with each passing year, and 2009 is no exception. The company has set aside more than $200 million for operational expenses and intends to hire a full staff to serve each of its properties. Still, a growing concern is the percentage of would-be visitors who will equate the financial headlines with quality and safety and opt to take their patronage elsewhere. One debt analyst has predicted that a bankruptcy filing would result in a 6% drop in attendance across Six Flags parks, as compared to a predicted 3.5% drop otherwise (simply due to the current economic crunch).

What a shame it would be if a simple matter of public perception were to become the undoing of everything the Shapiro team has worked so hard to achieve! I will be the first to admit that when this new management team took the helm, I had serious doubts about whether they would be willing or able to turn Six Flags around. But over the past few years, they have turned this skeptic into a believer with all the positive--yet carefully measured--changes they have made across the chain. I am a Shapiro fan. There, I said it.

Only time will tell what the future holds. But as long as we have the present, we as enthusiasts can make a difference (however subtle!) by publicly reinforcing the fact that the Six Flags parks as well as all of our other favorite parks remain firmly committed to guest satisfaction and safety during these difficult times. A day at the local amusement park may be just what the doctor ordered to fight the gloom and doom of the daily headlines!

For a great synopsis of Six Flags' current financial situation as it relates to park operations, check out this article from The New York Times.

Six Flags' Probable Bankruptcy

Six Flags recently published in an SEC filing that they are not sure the company will continue to operate through the end of this year without some sort of bankruptcy restructuring.

Now, this really shouldn't be a surprise to anyone considering the company's frightening debt load.

They are now talking about these tentative plans in more depth, and stressing some positive points about the whole mess. The company says in this article that no more parks are to be sold, and that they will all operate business as usual during this summer if the bankruptcy takes place.

Essential it sounds like the plan would be to let debtors become partial equity owners of the company going forward so they can erase their debt and continue operating.


All in all, not a bad plan if they can pull it off!